Pakistan to receive another $300 million as part of $1.3 billion Chinese rollover — finance minister

A dealer counts US dollars at a money exchange market in Karachi, Pakistan on March 2, 2023. (AFP)
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Updated 14 April 2023
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Pakistan to receive another $300 million as part of $1.3 billion Chinese rollover — finance minister

  • Islamabad repaid $1.3 billion loan to a Chinese bank in recent months, after which the bank approved its rollover
  • Pakistan already received the first two installments amounting to $500 million each during in the month of March

ISLAMABAD: Cash-strapped Pakistan is expecting the third and final disbursement amounting to $300 million from the Industrial and Commercial Bank of China (ICBC) on Friday, said finance minister Ishaq Dar in a social media post.
Despite dealing with one of the worst economic crises in history, Pakistan managed to repay $1.3 billion loan to the ICBC in recent months, following which the Chinese bank approved its rollover in March while agreeing to disburse the money in three installments.
The country received the first installment of $500 million on March 4, which took its official forex reserves to $4 billion. Pakistan got the second installment, amounting to another $500 million, on March 17.
“Out of Chinese Bank’s approved facility of $1.3 billion (which was earlier repaid by Pakistan), the State Bank of Pakistan would receive back third and last disbursement today in its account amounting to $300 million,” Dar wrote in a Twitter post.

 

 

Faced with alarmingly low foreign currency reserves and rapidly depreciating national currency, Pakistan desperately needs more external financing to fully fund the balance of payments gap during the ongoing fiscal year ending in June.
The country has been negotiating with the International Monetary Fund (IMF) to secure over $1 billion under a $7 billion loan program.
The IMF managing director, Kristalina Georgieva, said the fund was in talks with nations friendly to Pakistan to secure financial assurances vital for the program after the United Arab Emirates pledged to offer $1 billion to the South Asian country on Thursday.
Last week, Saudi Arabia also told the IMF it would provide $2 billion financing to Pakistan.


US orders non-essential staff to leave Lahore, Karachi consulates amid Iran conflict

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US orders non-essential staff to leave Lahore, Karachi consulates amid Iran conflict

  • Embassy in Islamabad unaffected by departure order, US mission says 
  • Move comes amid US-Iran hostilities and regional security concerns

ISLAMABAD: The United States has ordered non-emergency government employees and family members to leave its consulates in Lahore and Karachi due to security risks following the outbreak of hostilities between Washington and Tehran, the US mission in Pakistan said on Wednesday.

The US Department of State issued the order on March 3, citing the ongoing threat of drone and missile attacks from Iran and significant disruptions to commercial flights across the region after fighting began between the United States and Iran on Feb. 28.

The advisory also comes as demonstrations against US-Israeli strikes in Iran turned violent in Pakistan over the weekend. At least 23 protesters were killed in clashes across the country, including 10 in the southern port city of Karachi where security at the US consulate fired on demonstrators who breached the outer perimeter, 11 in the northern city of Skardu where a crowd torched a UN office, and two in Islamabad.

“On March 3, 2026, the Department of State ordered non-emergency US government employees and the family members of US government personnel from US Consulates Lahore and Karachi to leave Pakistan due to safety risks,” the US mission said in a statement.

“Following the onset of hostilities between the United States and Iran on February 28, there has been an ongoing threat of drone and missile attacks from Iran and significant disruptions to commercial flights.” 

The statement clarified that there has been no change to the operational status of the US Embassy in Islamabad, which continues to function normally.

The advisory warned that Pakistan’s security environment remains fluid, citing risks of terrorism, violent extremism and criminal activity in various parts of the country. 

“There is risk of terrorist violence, including terrorist attacks and other activity in Pakistan,” the advisory said, noting that militant groups have historically targeted transportation hubs, markets, hotels, places of worship and government buildings.

US government personnel stationed in Pakistan operate under strict movement restrictions and are often required to travel with armed escorts and armored vehicles outside major cities. The State Department said its ability to assist US citizens remains limited in some parts of the country due to security constraints.

The advisory cautioned citizens about demonstrations, noting that local law requires permits for protests and that foreigners can face detention for participating in demonstrations or posting content online considered critical of the Pakistani government or military.

The advisory reiterated existing travel warnings for several regions of Pakistan, including Balochistan and Khyber Pakhtunkhwa provinces, where militant groups have carried out frequent attacks against civilians, security forces and foreign nationals.

The US mission urged American citizens in Pakistan to monitor local media, avoid protests and crowded areas, maintain updated travel documents and develop contingency plans in case of an emergency departure.